[Second Quarter 2024 Results Overview](index=1&type=section&id=Second%20Quarter%202024%20Results%20Overview) Range Resources delivered strong Q2 2024 results, demonstrating financial resilience and operational efficiency despite challenging commodity prices [Financial and Operational Highlights](index=1&type=section&id=Financial%20and%20Operational%20Highlights) Range Resources achieved resilient Q2 2024 results, generating free cash flow and strengthening its balance sheet despite low natural gas prices - CEO Dennis Degner highlighted the company's resilience, delivering free cash flow through efficient operations, strong well performance, and thoughtful hedging, despite low natural gas prices. The company is positioned for long-term competitive **free cash flow generation**[4](index=4&type=chunk) Q2 2024 Key Metrics | Metric | Value | | :--- | :--- | | Cash flow from operating activities | $149 million | | Cash flow from operations (before working capital) | $237 million | | Capital spending | $175 million | | Production | 2.15 Bcfe per day | | Senior notes repurchased (face value) | ~$48 million | | Shares repurchased | 600,000 shares | [Financial Performance](index=1&type=section&id=Financial%20Performance) Range reported Q2 2024 GAAP net income of $29 million and non-GAAP adjusted net income of $111 million Q2 2024 Financial Results (GAAP vs. Non-GAAP) | Metric | GAAP Amount | Non-GAAP Amount | | :--- | :--- | :--- | | **Revenues** | $530 million | $641 million | | **Net Cash from Operating Activities** | $149 million | N/A | | **Cash Flow from Operations (before working capital)** | N/A | $237 million | | **Net Income** | $29 million | $111 million | | **Diluted EPS** | $0.12 | $0.46 | - Earnings for the second quarter included a **$17 million** mark-to-market derivative gain resulting from decreases in commodity prices[6](index=6&type=chunk) [Operational Performance](index=2&type=section&id=Operational%20Performance) Q2 2024 production averaged 2.15 Bcfe per day, with total cash unit costs decreasing to $1.88 per mcfe Q2 2024 Production and Realized Pricing | Category | Production (per day) | Realized Price (after hedges) | | :--- | :--- | :--- | | **Natural Gas** | 1,495,594 mcf/day | $2.47 per mcf | | **NGLs** | 103,042 bbls/day | $24.56 per bbl | | **Oil** | 6,517 bbls/day | $68.12 per bbl | | **Total Equivalent** | 2,152,946 mcfe/day | $3.10 per mcfe | Unit Cost Comparison (per mcfe) | Expense Category | Q2 2024 ($/mcfe) | Q2 2023 ($/mcfe) | Change (%) | | :--- | :--- | :--- | :--- | | Direct operating | $0.11 | $0.13 | (15%) | | Transportation, gathering, processing & compression | $1.44 | $1.42 | 1% | | Interest expense | $0.14 | $0.16 | (13%) | | **Total cash unit costs** | **$1.88** | **$1.90** | **(1%)** | | **Total unit costs plus DD&A** | **$2.33** | **$2.35** | **(1%)** | - Pre-hedge NGL realizations were **$24.35 per barrel**, a premium of **$1.26** over the Mont Belvieu equivalent. Natural gas differentials, including basis hedging, averaged **($0.41) per mcf** to NYMEX[8](index=8&type=chunk)[12](index=12&type=chunk) [Financial Position and Capital Management](index=3&type=section&id=Financial%20Position%20and%20Capital%20Management) Range Resources maintained a strong financial position in Q2 2024 through strategic debt reduction, share repurchases, and disciplined capital spending [Balance Sheet and Debt Reduction](index=3&type=section&id=Balance%20Sheet%20and%20Debt%20Reduction) As of June 30, 2024, Range's net debt was approximately $1.47 billion, bolstered by strategic senior note repurchases - As of June 30, 2024, net debt was approximately **$1.47 billion**, composed of **$1.72 billion** in senior notes and **$251 million** in cash[13](index=13&type=chunk) - In Q2, the company repurchased **$47.9 million** principal amount of its 4.875% senior notes due 2025 at a discount in the open market[13](index=13&type=chunk) [Shareholder Returns](index=3&type=section&id=Shareholder%20Returns) Range repurchased 600,000 shares in Q2, with approximately $1.1 billion remaining under its share repurchase program - During Q2, Range repurchased **600,000 shares** at an average price of approximately **$33.42**[14](index=14&type=chunk) - The company has approximately **$1.1 billion** of availability remaining under its share repurchase program[14](index=14&type=chunk) [Capital Expenditures and Operations](index=3&type=section&id=Capital%20Expenditures%20and%20Operations) Q2 capital expenditures totaled $175 million, with 26 wells turned to sales in 1H 2024 and 23 planned for 2H - Q2 2024 drilling and completion expenditures were **$162 million**, with an additional **$14 million** invested in acreage. First half capital spending represents about **53%** of the total 2024 budget[15](index=15&type=chunk) 2024 Wells Turned-in-Line (TIL) Plan | Area | 1H 2024 TIL (wells) | Remaining 2024 TIL (wells) | Total 2024 Planned TIL (wells) | | :--- | :--- | :--- | :--- | | SW PA Super-Rich | 9 | 0 | 9 | | SW PA Wet | 17 | 10 | 27 | | SW PA Dry | 0 | 11 | 11 | | NE PA Dry | 0 | 2 | 2 | | **Total Wells** | **26** | **23** | **49** | [2024 Outlook and Guidance](index=3&type=section&id=2024%20Outlook%20and%20Guidance) Range Resources provides updated 2024 guidance, maintaining capital budget while raising production and NGL price expectations due to strong performance [Capital and Production Guidance](index=3&type=section&id=Capital%20and%20Production%20Guidance) Range maintains its 2024 capital budget of $620-$670 million, with annual production expected near the high end of guidance - The 2024 all-in capital budget remains **$620 million - $670 million**[18](index=18&type=chunk) - Annual production is now expected to be near the high end of the **2.12 – 2.16 Bcfe per day** guidance range, with liquids production comprising over **30%**[18](index=18&type=chunk) [Updated Expense and Price Guidance](index=4&type=section&id=Updated%20Expense%20and%20Price%20Guidance) Range updated its full-year 2024 expense and price differential guidance, improving NGL price expectations due to outperformance Updated Full Year 2024 Expense Guidance (per mcfe) | Expense Category | Guidance Range ($/mcfe) | | :--- | :--- | | Direct operating | $0.11 - $0.13 | | Transportation, gathering, processing & compression | $1.45 - $1.55 | | G&A expense | $0.17 - $0.18 | | Net interest expense | $0.13 - $0.14 | | DD&A expense | $0.45 - $0.46 | Updated Full Year 2024 Price Differential Guidance | Commodity | Guidance (vs. Benchmark) | | :--- | :--- | | Natural Gas | NYMEX minus $0.40 to $0.45 | | NGLs | Mont Belvieu plus $0.75 to $1.50 per barrel | | Oil/Condensate | WTI minus $10.00 to $13.00 | [Hedging Status](index=4&type=section&id=Hedging%20Status) Range utilizes hedging for cash flow predictability, with natural gas basis hedges showing a **$13.9 million** net gain as of June 30, 2024 - The company hedges future production to increase cash flow predictability and maintain a strong financial position[23](index=23&type=chunk) - As of June 30, 2024, the fair value of natural gas basis hedges was a net gain of **$13.9 million**[24](index=24&type=chunk) [Financial Statements and Reconciliations](index=8&type=section&id=Financial%20Statements%20and%20Reconciliations) This section presents Range Resources' Q2 2024 financial statements and reconciliations, detailing income, balance sheet, and cash flow [Statement of Income](index=8&type=section&id=Statement%20of%20Income) Q2 2024 revenues totaled $530.0 million, resulting in a net income of $28.7 million, or $0.12 per diluted share Q2 2024 vs Q2 2023 Income Statement Highlights (in thousands) | Metric | Q2 2024 ($ thousands) | Q2 2023 ($ thousands) | | :--- | :--- | :--- | | Total revenues and other income | $530,043 | $636,977 | | Total costs and expenses | $520,033 | $592,034 | | Income before income taxes | $10,010 | $44,943 | | **Net income** | **$28,704** | **$30,231** | [Balance Sheet](index=10&type=section&id=Balance%20Sheet) As of June 30, 2024, Range reported total assets of $7.27 billion and total stockholders' equity of $3.86 billion Balance Sheet Summary (in thousands) | Category | June 30, 2024 ($ thousands) | Dec 31, 2023 ($ thousands) | | :--- | :--- | :--- | | **Total Assets** | **$7,266,223** | **$7,203,885** | | Total Current Liabilities | $1,232,772 | $580,469 | | Total Debt | $1,088,655 | $1,774,229 | | **Total Liabilities** | $3,405,195 | $3,438,334 | | **Total Stockholders' Equity** | **$3,861,028** | **$3,765,551** | [Cash Flow Statement](index=12&type=section&id=Cash%20Flow%20Statement) Q2 2024 net cash from operating activities was $148.8 million, with non-GAAP cash flow from operations at $236.9 million Q2 2024 vs Q2 2023 Cash Flow Highlights (in thousands) | Metric | Q2 2024 ($ thousands) | Q2 2023 ($ thousands) | | :--- | :--- | :--- | | Net income | $28,704 | $30,231 | | **Net cash provided from operating activities** | **$148,775** | **$126,589** | | Cash flow from operations before working capital (Non-GAAP) | $236,902 | $187,004 | [Non-GAAP Reconciliations](index=4&type=section&id=Non-GAAP%20Reconciliations) Detailed non-GAAP reconciliations are provided, with Q2 2024 adjusted net income reaching $110.9 million, a 55% increase - The company provides non-GAAP measures like adjusted net income and adjusted cash flow to help investors evaluate operational trends and performance relative to peers, as these are commonly used by analysts[26](index=26&type=chunk)[28](index=28&type=chunk) Reconciliation of Net Income (in thousands) | Metric | Q2 2024 ($ thousands) | Q2 2023 ($ thousands) | | :--- | :--- | :--- | | Net income, as reported (GAAP) | $28,704 | $30,231 | | **Net income, excluding certain items (Non-GAAP)** | **$110,903** | **$71,760** | Reconciliation of Cash Margin (per mcfe) | Metric | Q2 2024 ($/mcfe) | Q2 2023 ($/mcfe) | | :--- | :--- | :--- | | **Cash margin, a non-GAAP measure** | **$1.22** | **$0.99** |

Range Resources (RRC) came out with quarterly earnings of $0.46 per share, beating the Zacks Consensus Estimate of $0.39 per share. This compares to earnings of $0.30 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 17.95%. A quarter ago, it was expected that this independent oil and gas company would post earnings of $0.56 per share when it actually produced earnings of $0.69, delivering a surprise of 23.21%. Over the last fo ...

| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | |-------------------------------------|-------|-------------|-------|---------------------------------------|-------|-----------------------|-------------------|-------|---------|----------|------------------------------|--------------|-----------------------|-------|-------------| | Natural gas \nPrice (per mcf) | $ | 2023 \n1.74 | $ | June 30, \nPrice Variance \n(0.20 ) | $ | Volume Variance \n— | 2024 \n$ 1. ...

| --- | --- | --- | --- | --- | |---------------------------------------|-------------------|--------------------------------------------------|------------|-------------------------------| | | Natural Gas (mcf) | 2Q24 Production & Realized Pricing \nNGLs (bbls) | Oil (bbls) | Natural Gas Equivalent (mcfe) | | Net production per day | 1,495,594 | 103,042 | 6,517 | 2,152,946 | | | | | | | | Average NYMEX price | $ 1.88 | $ 23.09 | $ 80.49 | | | Differential, including basis hedging | (0.41 ) | 1.26 | (12.17 ...

Financial Performance - Range Resources Corporation reported a net income of $28.7 million for the second quarter of 2024, compared to $30.2 million in the same period of 2023, reflecting a decrease of 5.1% [1] - Adjusted net income for the second quarter was $110.9 million, or $0.46 per diluted share, which is a 54% increase from $71.8 million, or $0.30 per diluted share, in the second quarter of 2023 [5][26] - Total revenues for the second quarter of 2024 were $530 million, down 17% from $637 million in the second quarter of 2023 [9][44] Production and Sales - Average production for the second quarter of 2024 was 2.15 billion cubic feet equivalent (Bcfe) per day, with approximately 69% attributed to natural gas [24][12] - The average realized price for natural gas was $2.47 per thousand cubic feet (mcf), while natural gas liquids (NGLs) averaged $24.56 per barrel [12][13] - Natural gas differentials, including basis hedging, averaged ($0.41) per mcf to NYMEX [13][24] Operational Efficiency - Direct operating expenses per mcfe decreased by 15% to $0.11 in the second quarter of 2024 compared to $0.13 in the same period of 2023 [27] - Total cash unit costs were $1.88 per mcfe, a slight decrease of 1% from $1.90 per mcfe in the second quarter of 2023 [27] - The company maintained a strong balance sheet with net debt of approximately $1.47 billion as of June 30, 2024 [14] Capital Expenditures and Guidance - Capital expenditures for the second quarter were $175 million, representing approximately 27% of the total 2024 budget [24][30] - Range Resources is targeting a maintenance production program in 2024, expecting production to remain flat at 2.12 to 2.16 Bcfe per day [16] - The company has updated its full-year 2024 price guidance for natural gas to NYMEX minus $0.40 to $0.45 per mcf [17] Market Position and Strategy - The CEO highlighted the resilience of the company's business model, emphasizing strong well performance and effective hedging strategies that allowed for free cash flow generation despite low natural gas prices [8] - Range Resources continues to expect a constructive long-term outlook for natural gas and NGLs, supported by a durable high-quality inventory [8]

The Zacks Consensus Estimate for second-quarter loss per share of 39 cents has witnessed four downward revisions and no upward movement over the past 30 days. The estimated figure suggests an improvement of 30% from the year-ago quarter's reported number. On the production front, we expect the company, having a strong footprint in the prolific Appalachian Basin, to produce 1.3% year-over-year higher natural gas equivalent volumes. Our proven model does not indicate an earnings beat for RRC this time around. ...

Emissions Progress FORT WORTH, Texas, July 17, 2024 (GLOBE NEWSWIRE) -- RANGE RESOURCES CORPORATION (NYSE: RRC) today published its 2023-2024 Corporate Sustainability Report. The latest report provides updates on key topics showcasing the Company's responsible business practices and its resiliency in the coming decades. Range has made significant strides in meeting its emissions targets, including progress towards its goal of netzero scope 1 and 2 GHG emissions by 2025. Range employees have implemented proc ...

"We have found success in merging long-term economic objectives with a commitment to environmental and social responsibility, which positions Range as a low-cost, resilient producer with a competitive emissions profile," said Dennis Degner, Chief Executive Officer and President. "Natural gas and natural gas liquids are being produced more efficiently than ever and will continue to play a meaningful role in global energy discussions. I believe the latest report showcases Range's sustainability in a world tha ...

While management's discussion of business conditions on the earnings call will mostly determine the sustainability of the immediate price change and future earnings expectations, it's worth having a handicapping insight into the odds of a positive EPS surprise. Revenues are expected to be $626.29 million, up 6.8% from the year-ago quarter. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. The earnings ...

In its latest short-term energy outlook, the U.S. Energy Information Administration revealed that it expects Henry Hub spot natural gas spot average price to be higher in the second half of this year at $2.90 per million British thermal units (MMBtu) compared with $2.10 per MMBtu in the first half. It has a strong focus on strengthening its balance sheet. Over the past several years, RRC has consistently reduced its net debt load. Notably, the company has the lowest emission intensity among the upstream com ...